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Bringing Smiles - Hindustan Petroleum Corporation Limited

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<strong>Bringing</strong> <strong>Smiles</strong><br />

HPCL<br />

Corporate Social Responsibility


Chairman’s message<br />

Arun Balakrishnan<br />

Chairman & Managing Director<br />

Any business organisation of today has to include the triple bottom line of People,<br />

Planet and Profit. HPCL pioneered the creation of “creating socially responsible”<br />

business processes to produce an overall positive impact on society through its activities<br />

since 1985. Interestingly it was around the same time when R. Edward Freeman penned<br />

his book Strategic Management: A Stakeholder Approach, and in which he coined the<br />

word “Corporate Social Responsibility”.<br />

I am associated with the HPCL’s activities for a quarter of a century now. We have<br />

worked closely with district administration who knows the developmental needs of the<br />

area and the people. We blend the strengths of our resources and the district<br />

administration’s understanding of the problem, to find solutions. We have been able to<br />

contribute towards society in terms of construction of school buildings, taking care of<br />

basic amenities and giving specialised training to the needy to enable them earn a living.<br />

HPCL puts in plenty of thought while formulating CSR activities. Our primary focus<br />

in CSR is the girl child, juveniles, school dropouts, youth and truck drivers. The projects<br />

have been chalked out with a clear understanding of the problems of these sections of<br />

the society and with the aim of finding solutions to these problems.<br />

I believe that newer projects will have outcomes, spread over decades. The girl<br />

child, whom we are sponsoring, will grow up to be a responsible mother and citizen.<br />

We strongly believe in the benefits of women empowerment. Computer familiarisation<br />

in schools opens up avenues for students from ill-equipped institutions. We will<br />

endeavor to make school drop outs and juveniles, good citizens.<br />

In conclusion, I am reminded of what Wilfred Grenfell said “The service we render<br />

others is the rent we pay for our room on earth”. That’s the way we in HPCL think and<br />

that’s the way we will grow.


Director HR<br />

Corporate social responsibility (CSR) means a commitment by a company to manage<br />

its roles in a society in a responsible and sustainable manner. Especially since the<br />

1980's, CSR has become an increasingly important part of the business environment.<br />

Today, there is a growing perception among enterprises that sustainable business<br />

success and shareholder value cannot be achieved solely through maximising shortterm<br />

profits, but instead through market-oriented yet responsible behaviour<br />

HPCL is one of the first organisations in the country, especially in the oil sector, to<br />

take up CSR activities, dating back to 1985.<br />

The HPCL CSR activities are concentrated more in the area where the organisation<br />

operates. This is in tune with its philosophy to work with all stakeholders and<br />

communities, where the organisation has its operations.<br />

The CSR activities range from working among street and slum children, school<br />

children, girl child and the youth, to health care and drinking water augmentation. These<br />

also extend to relief work during natural calamities at the same time contributing to<br />

education, vocational education, health and hygiene.<br />

Through Hamara Pump, fuel is provided to farmers in the rural areas without<br />

travelling distances and they also find it as a single point outlet for a variety of agriinputs<br />

and farm financing.<br />

The HP Rasoi Ghar is a boon to women in the rural areas. Women, who had to exert<br />

themselves while collecting bio-fuels and had also to inhale obnoxious fumes while<br />

cooking, are now saved the trouble, by the HP Rasoi Ghar, where they are provided with<br />

LPG connections, for them to cook their food at the community kitchen at a nominal<br />

cost. Over 22,000 families benefit every day from the 15,000 HP Rasoi Ghar spread<br />

across the country.<br />

HPCL remains committed to play a key role in society towards a sustainable<br />

development.<br />

Dr. V. Vizia Saradhi


Executive Director HR<br />

The key success factor of CSR of any organisation is not only the funds earmarked,<br />

but the commitment and enthusiasm of the employees of that organisation. Employees<br />

play a major role in the implementation of CSR. This helps the organisation achieve<br />

its objective of making a difference in the lives of the people for whom the activities<br />

are intended.<br />

HPCL is committed to create a positive impact on the society and contribute to socioeconomic<br />

development including measures for improving the quality of life of<br />

underprivileged classes of the society. Every year, substantial financial provisions are<br />

made for the execution of CSR activities.<br />

The organisation meets its societal obligations/commitments by developments in<br />

and around refineries, installations and important markets/business areas; commitments<br />

under the component plan on the basis of the government mandate; focused attention<br />

on marginalised sections of the society and extending help during the times of natural<br />

calamities/needs.<br />

Wherever necessary, HPCL takes the help of expert organisations and individuals for<br />

better implementation of its CSR activities. These projects are voluntarily adopted by<br />

the Senior Managers of CSR as the project owners. There are regular reviews of the<br />

activities to ensure desired outcomes.<br />

HR plays an ownership role for the CSR processes in the organisation, in line with<br />

the corporate objectives.<br />

Dinesh K. Deshpande


CSR Purpose statement of HPCL<br />

Serving the community is the purpose of our business;<br />

Ensuring sustainable business process-financially,<br />

environmentally and socially-is our effort;<br />

Using core competence, expertise and technology of our<br />

business to reach the common people, especially the<br />

underprivileged, is our aim,<br />

Developing capacity in the community is our strategy;<br />

Enhancing human excellence and improving quality of<br />

life is our endeavour.<br />

HPCL’s CSR is not restricted merely to serving<br />

the society, but it starts with responsible and<br />

efficient management of all its operations,<br />

products and services that create positive impact<br />

on the society.<br />

Since 1985, innumerable activities have been<br />

undertaken by HPCL as a part of its CSR.


Unnati<br />

The project is aimed at<br />

providing time bound<br />

computer training<br />

programmes and personal<br />

computers to students in<br />

semi-urban and rural<br />

schools. The training is<br />

given through National<br />

Institute of Information<br />

Technology, (NIIT) and<br />

the students are trained in<br />

computer basics, including<br />

MS Office.<br />

The project is carried out<br />

in Maharashtra, Andhra<br />

Pradesh, Uttar Pradesh and<br />

Rajasthan and 4,000<br />

students are given this<br />

training. The training is<br />

imparted free of charge to<br />

the students and the cost of<br />

the training is borne by<br />

HPCL. The duration of the<br />

training is four to six<br />

months.<br />

The programme has<br />

helped students from the<br />

economically backward<br />

class to get computer<br />

training and their teachers<br />

are happy over the results.


Swavalamban<br />

One of the biggest problems<br />

faced by the country and its youth<br />

is unemployment.<br />

Also most of the youth in rural<br />

areas lack the requisite skills for<br />

the jobs that are available. To add<br />

to this is the shift from agriculture.<br />

Agriculture and agriculture<br />

based activities used to absorb a<br />

sizable section of the population<br />

in terms of employment. The<br />

modernisation of agricultural<br />

methods has reduced the<br />

employment potential of<br />

agriculture.<br />

Mahatma Gandhi emphasised<br />

the development of the rural areas<br />

and maintained that India lives in<br />

its villages.<br />

For the rural youth to be<br />

employed and preferably within<br />

their area, there is a need for them<br />

to be trained in different skills.<br />

There is also a need to make<br />

them capable of being selfemployed<br />

that give them the<br />

means of earning, while at the<br />

same time, it helps create job<br />

opportunities for others.


Orphans are given preference<br />

during selection and school dropouts<br />

are also considered, so that they can<br />

start earning at the earliest.<br />

There are opportunities to be<br />

employed as drivers, nurses and<br />

masons, apart from those in<br />

industrial workshops.<br />

Agro-based sectors also have a<br />

huge potential for employment<br />

generation, but the youth ought to<br />

be trained in those fields.<br />

Having understood the needs of<br />

the youth, HPCL took up the<br />

challenge of training youth in<br />

different skills to make them<br />

employable or for them to start their<br />

own enterprise.<br />

Such training is being given to<br />

1,800 youth in locations like<br />

Hyderabad,<br />

Chandigarh,<br />

Visakhapatnam and Bihar.<br />

The project is implemented in<br />

association with the Confederation<br />

of India Industry (CII) and the<br />

training does not earn the<br />

beneficiaries any diploma or<br />

certificate, but makes the person<br />

capable of using the skills, acquired at<br />

such training, to earn a living. They<br />

are also trained in customer<br />

relationship. The 1,800 youth trained<br />

have already started earning.<br />

Unemployed youth from<br />

families, whose income is not over<br />

Rs 10,000 per month, are given<br />

vocational training in trades like<br />

plumbing, automobile repairing,<br />

welding, fabrication and electrical<br />

installation.


Muskan<br />

Street children are most vulnerable and need to be protected<br />

from falling into bad company or from getting involved in antisocial<br />

or criminal activities. They also need a shelter, a caring hand<br />

and proper training to make a good career. The Muskan project,<br />

executed in association with Prayas, does just that.<br />

Two hundred street children have been provided shelter at<br />

Tugalkabad and Jahangipuri from Delhi state. They are provided<br />

basic needs like food, clothes, shelter, health care, education and<br />

vocational training.


The aim of Navjyot is to<br />

improve the health index of<br />

children by providing them<br />

health care, which would in<br />

turn ensure that they do not<br />

drop out of school for health<br />

reasons.<br />

Navjyot<br />

Implemented with the help<br />

of Navjyoti Foundatiuion of<br />

New Delhi, 3,100 children<br />

are beneficiaries of the<br />

project.<br />

They are provided health care facilities, referral<br />

services through regular health check up camps,<br />

rehabilitation for slum families and training<br />

programmes, which include family planning<br />

programme.<br />

The children are taught to keep themselves<br />

clean, especially their hair, nose and eyes clean;<br />

that they drink clean water and follow a balanced<br />

diet. The children and their parents are advised on<br />

the need for a balanced diet and wherever<br />

required, a diet chart is worked out on the basis of<br />

the child’s health and given to the parents for<br />

implementation.


Suraksha<br />

The incidence of HIV-AIDS is very high<br />

in the country and among those most<br />

affected, as well as in the high-risk<br />

segment, are the truck drivers and cleaners.<br />

Looking at the gravity of the situation<br />

and given the proximity of HPCL with<br />

this segment of the society, it was decided<br />

to take up a project named Suraksha<br />

(security) to educate the truck drivers and<br />

cleaners about HIV-AIDS and ways of<br />

preventing the diseases. The staff at the<br />

HPCL outlets is identified to be the best<br />

team to educate the drivers and cleaners,<br />

given their constant interaction with this<br />

section of the society.<br />

An MOU was signed with OSERD to<br />

run project Suraksha at 500 HPCL outlets<br />

and in the first phase 128 outlets were<br />

identified in Tamil Nadu, Delhi, Haryana,<br />

Rajasthan, Bihar, Jharkhand and<br />

Maharashtra. The present project partner<br />

is TCIF.<br />

The objective is to arrest the fast spread<br />

of AIDS and ensure the safety of the<br />

members of the families of the drivers and<br />

cleaners. Emphasis is also laid on the fact<br />

that the wives and children of this<br />

segment, suffer for no fault of theirs.<br />

The programme creates a committed<br />

cadre from among the staff at the outlets,<br />

especially along the highways and<br />

through them bring about a behavioural<br />

change in the target group, through<br />

acceptance of safe practices.


Extensive interactive<br />

training was given to<br />

400 members of the<br />

petrol pump staff and<br />

12 HPCL officials. The<br />

training also involved<br />

group discussions and<br />

games.<br />

A survey was carried<br />

out, which helped in<br />

making the project<br />

successful.<br />

Condom vending<br />

machines have been<br />

installed at petrol pumps,<br />

giving the target group<br />

easy access to condoms.


Nanhi Kali<br />

All the beneficiaries of the Nanhi Kali project come from very poor families and<br />

computer training is beyond their means. Domestic work and other pressures prevent<br />

them from indulging in creative and performing arts.<br />

The project gives them a platform to display their creative talents.<br />

The girls are also taken for educational tours, which exposes them to new places and<br />

helps them learn about these places. It is a good combination of study and pleasure.<br />

There has been a marked improvement in the personalities of the 3,600 girl children<br />

beneficiaries of the Nanhi Kali project, which implemented through K C Mahindra<br />

Foundation.


The girl child is provided with<br />

school uniforms, given extra<br />

training and encouraged to<br />

participate in extra-curricular<br />

activities like singing, dramatics<br />

and the like.<br />

HPCL has always been<br />

encouraging the girl child in her<br />

academics as well as to enable<br />

her accomplish her dreams, by<br />

tapping her potential.


Global Warming<br />

Global warming is<br />

another issue bothering<br />

humankind. The fight against global<br />

warming and for the preservation of<br />

ecology cannot be successful without the<br />

participation of the people at large.<br />

The best way to educate the members of the<br />

public is to begin with children. HPCL launched<br />

a project on educating schoolschildren on global<br />

warming. This project was implemented with<br />

Centre for Social Responsibility Leadership as<br />

the operating partner and nearly 20,000<br />

school children were educated on the<br />

causes of global warming.


Dealer Training<br />

HPCL dealers need not have done<br />

MBA to be successful in their business,<br />

as HPCL has designed an effective<br />

four-week Intensive Training<br />

programme, called the Management<br />

Development Programme, meant for<br />

New Corpus Fund Retail outlet dealers.<br />

It is a combination of managerial and<br />

functional module designed to provide<br />

requisite business needs for a new<br />

dealer.<br />

Bankers, as guest lecturers, educate<br />

the dealers on the finance portfolio and<br />

for effective fund management, while<br />

HPCL senior officers and successful<br />

dealers of HPCL share their rich<br />

experiences for better business and<br />

customer handling.


Thus this Mini MBA programme,<br />

as it is fondly called, takes care of the<br />

“Individual learning to collective<br />

learning” and makes the dealer<br />

confident and self supportive to<br />

manage the business well since<br />

inception of the dealership and<br />

equips the participant with all tools<br />

and techniques, both theoretical and<br />

practical, to become a successful<br />

business partner with HPCL.<br />

During 2008-09, HPCL organised<br />

15 such programmes covering 318<br />

new dealers (around 90 per cent<br />

SC/ST dealers). During 2009-10,<br />

more than 500 new dealers are<br />

targeted for training under MDPs.


Rasoi Ghar<br />

Alarge number of people in rural<br />

India do not have access to<br />

modern fuels and have to depend<br />

on traditional fuels like twigs,<br />

animal waste and charcoal.<br />

Women and the girl<br />

children have to spend<br />

plenty of their time<br />

and energy in<br />

collecting of twigs<br />

and firewood from<br />

the forest or open<br />

land; or in make<br />

fuel cakes from<br />

animal waste.<br />

Moreover, during<br />

cooking and boiling<br />

water for bathing they are<br />

exposed to carbon monoxide and<br />

other harmful gases affecting their health.<br />

Given their poverty, these families cannot<br />

afford to buy a hotplate or spend on LPG<br />

connections. Noticing this problem, HPCL<br />

came up with an innovative idea of setting up<br />

Rasoi Ghar, community kitchen, where<br />

women are given LPG connections with<br />

hotplates, for them to use the fuel for a<br />

nominal cost of Rs 4 per hour to carry out<br />

their domestic work. HPCL also provides<br />

utensils in these kitchens and the<br />

beneficiaries have to merely bring their raw<br />

material to carry out their chores.<br />

The Wood Consumption<br />

Study carried out by the<br />

Forest Department of<br />

India revealed,<br />

“…the fire wood<br />

consumption per<br />

household of four<br />

is approximately<br />

4 kg per day.”<br />

To get that<br />

much fire wood,<br />

around 10 small trees<br />

have to be cut, which<br />

would come to 3,600 trees<br />

per annum per lady, who goes to<br />

pick up fire wood. The use of LPG provided<br />

by HPCL helps in saving the trees, apart from<br />

saving the energy and health of the women.<br />

The Rasoi Ghar has become very popular<br />

amongst the women and it has also<br />

contributed in saving trees.<br />

Today there are over 1950 Rasoi Ghar<br />

spread across the country benefiting 22,000<br />

families everyday.<br />

For this activity, HPCL won the Golden Peacock Award in 2005 for CSR<br />

and National Excellence Award for innovative techniques for improving<br />

the access of rural women to a modern fuel.


Benefits of Rasoi Ghar<br />

Reduce Deforestation and<br />

climate change<br />

No one time investment on<br />

LPG connection (deposit/<br />

stove),<br />

Payment according to<br />

usage<br />

Saves time otherwise spent<br />

on collection of firewood<br />

and on cooking<br />

Women can use the time<br />

for Value Added Activities<br />

Girls have more time for<br />

education<br />

Better health and hygiene<br />

for women


Dikshabhoomi<br />

Among the areas of work are adoption of villages, primary education,<br />

health care, drinking water facilities and provision of live stock. There is<br />

a special component plan for the Scheduled Castes and Scheduled Tribes.<br />

In 2005, CSRL were appointed as consultants and a study was carried out<br />

at the major locations to evaluate the CSR activities and the component<br />

plan. The recommendations based on the study were placed before the<br />

CFD/Board and following its adoption projects like Swavalamban,<br />

Muskan, Nanhi Kali, Navjyot, Suraksha, Unnati, Naya Netritva, Bihar<br />

Development and Leadership lectures were launched. Presently,<br />

Swalamban, Muskan, Nanhi Kali, Navjyot, Suraksha and Unnati are the<br />

active projects.<br />

Lakhs of people assemble every<br />

year at the Dikshabhoomi at Nagpur<br />

to commemorate the embracing of<br />

Buddhism by Dr Babasasheb<br />

Ambedkar and HPCL makes<br />

arrangement for free food packets<br />

and water for the visitors.<br />

A sizeable number of visitors are<br />

poor and travel long distances on<br />

the occasion and the free food<br />

packets and water are a boon to<br />

them.<br />

It is also the occasion for the<br />

organisation to organise eye camps<br />

and distribute spectacles to those in<br />

need.<br />

Each year, a large number of<br />

employees of HPCL offer voluntary<br />

services to make the programme<br />

successful.<br />

Chaityabhoomi


Jharcraft<br />

In continuation of its<br />

efforts to improve the socioeconomic<br />

conditions of the<br />

rural people, HPCL has<br />

entered into an agreement<br />

with Jharcraft, an<br />

undertaking of the<br />

Government of Jharkhand,<br />

to promote handicraft and<br />

handloom.<br />

HPCL has agreed to give<br />

space for the Jharcraft<br />

showrooms in major cities.<br />

The first such showroom<br />

was inaugurated in Delhi.<br />

These showrooms help the<br />

rural artisans to sell their<br />

handicraft items and<br />

handloom cloth to people in<br />

the urban areas. The good<br />

display of their work at<br />

prominent places helps them<br />

get a good market. On the<br />

day of the inauguration the<br />

Jharcraft showroom did a<br />

business of Rs 90,000.<br />

In the days to come the<br />

artisans will be able to<br />

augment their income and<br />

that will also encourage<br />

them to display more of the<br />

creative abilities.


For the Handicapped<br />

Under the ST/SC component<br />

plan, scholarships are given<br />

to the blind.<br />

Artificial limbs and wheel<br />

chairs and tricycles have been<br />

provided to the handicapped.


Employment Generation<br />

In Jammu, women have been provided with<br />

sewing and embroidery machines and they are<br />

being trained to work on these machines, which<br />

would in turn help them earn substantial sums of<br />

money.<br />

In Mizoram, it was<br />

observed that women artisans,<br />

who make beautiful items from<br />

bamboo and cane, found it<br />

difficult to transport the raw<br />

materials as well as the<br />

finished goods. These artisans,<br />

who work with an NGO, were<br />

presented a pick-up van for<br />

the purpose.<br />

In Jharkhand too, sewing machines were<br />

provided to girls from the state, who were rescued<br />

from various cities in the country, after it was found<br />

that they were being exploited as domestic workers.<br />

An advanced computer centre has been set up at the Government Boys Middle School,<br />

Lauria in the district of West Champaran, Bihar on January 6, 2010.<br />

To take care of the erratic power supply, the computer centre has a solar power back-up. The<br />

centre has 10 computers with latest configuration, wide LCD monitors and a laser colour printer.<br />

The computers are connected with LAN. The centre has facility for training 20 students at a time.<br />

Over 1000 students from class V to VIII of Government Boys Middle school, Govt Girls Middle<br />

school and all students of Goverment Girls Higher Secondary School, Lauria would benefit from<br />

the centre. Both the schools are located on the same campus.<br />

HPCL has engaged NIIT, a leading computer training institute, to train the students at the<br />

Lauria centre. NIIT will also train the teachers, who will eventually take over the computer training<br />

job.<br />

A similar course in a private training institue would have cost the student around Rs 3,000, but<br />

at the computer centre set up by HPCL the same training is given free to these students.<br />

The centre will help the students in the backward area to use computers and improve their job<br />

potential.<br />

Apart from the computer centre, HPCL has also provided desks and benches to the Government<br />

Girls Middle School, as in the absence of the furniture, the students had to sit on the floor in the<br />

class.


Helping Hand<br />

The CSR activities of HPCL extend up to Jammu<br />

and Kashmir. HPCL has opened a tailoring-cumembroidery<br />

centre at Gura More Smailpur in<br />

Jammu. Sewing and embroidery machines have<br />

been provided at the centre with a teacher. The<br />

free training helps the women, who come to the<br />

centre, earn a living.<br />

HPCL is always in the forefront in coming to<br />

the aid of victims of natural calamities, by<br />

distributing the requisite materials. This is done<br />

in coordination with the district authorities.<br />

Uniforms and other materials are also provide<br />

to school children at the beginning of the<br />

academic year.<br />

Coaching centres have been set<br />

up at different places, like the<br />

one in Ranchi.


From the Desk of GM CSR<br />

No organisation is an island in today’s world and HPCL understands the impact of<br />

interconnectedness of the business and society. It is with this deep understanding that<br />

HPCL is striving not only to create a social impact but also to involve deeply with<br />

social problems, thus making CSR a part of the core area of activities. We realise the<br />

benefits of adopting socially responsible behavior by integrating<br />

<br />

<br />

<br />

Building social capital in the community<br />

Harmonise ecological factors<br />

Add economic value<br />

Our activities are taken up after clearly establishing the elevating impact they will<br />

make for the target group. We follow the dual strategy of working closely with Government<br />

agencies and with NGOs. The experience proves that the methodology has<br />

been very effective to make an impact through our CSR activities.<br />

Since we strongly believe that business and society are very closely interwoven, we<br />

resolve to make HPCL a role model in Corporate Social Responsibility by integrating<br />

our role more with society and its growing needs.<br />

Sonal Desai<br />

GM - CSR<br />

+91-22-22871325<br />

sonaldesai@hpcl.co.in


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